Capital Markets

Assimilation
Assimilation in finance refers to the absorption of a new issue of stock by the investing public after all shares have been sold by the issue's underwriters.
Bulldog Bond
A bulldog bond is an unsecured or secured bond issued in the UK domestic market by a non-UK borrower, which helps diversify investor portfolios and provides borrower access to the UK's capital markets.
Euro-Commercial Paper (ECP)
A Euro-Commercial Paper (ECP) is a short-term unsecured promissory note issued by companies, typically denominated in a currency other than the issuer's domestic currency, to raise capital in international money markets.
Initial Public Offering (IPO)
The process through which a private company offers its shares to the public for the first time, transforming into a publicly traded company.
International Capital Market Association (ICMA)
The International Capital Market Association (ICMA) promotes efficient capital markets, resulting in stable market conditions and global economic growth. It sets standards and provides extensive sectoral expertise to industry professionals.
Investment Bank
Investment banks play a pivotal role in the financial markets by advising on mergers and acquisitions, underwriting new securities, and often trading securities for their own accounts. They differ from commercial banks, focusing on capital creation for corporations and other entities.
Investment Banker
An investment banker is a firm acting as an underwriter or agent that serves as an intermediary between an issuer of securities and the investing public.
Kangaroo Bonds
Kangaroo Bonds are bonds denominated in Australian dollars and issued in Australia by foreign firms, used to attract Australian investors while diversifying funding sources.
Placed Deal
A placed deal is a financial transaction in which a bank or a group of banks commit to marketing an entire new issue of bonds or similar securities without guaranteeing the success of the issuance.
Public Offering
A public offering refers to the sale of equity shares or other financial instruments by an organization to the public to raise capital. This process typically involves issuing stock through an initial public offering (IPO).
Publicly Traded Corporation
A publicly traded corporation, also known as a publicly held corporation, is a company that has sold a portion of itself to the public via the issuance of stock on a stock exchange, allowing for liquidity and access to capital.
Samurai Bond
A Samurai bond is a bond issued in Japan by a non-Japanese entity, denominated in Japanese yen. It enables foreign issuers to access the Japanese capital market.
Secondary Offering
A secondary offering, also known as a secondary distribution, is the sale of new or closely held shares of a company by investors, usually institutions, who are selling off their positions entirely or part of it.
Securities Markets
Securities markets are venues where securities are bought and sold, encompassing both organized exchanges and over-the-counter (OTC) markets. These markets facilitate the flow of capital from investors to companies, enabling economic growth and liquidity.

Accounting Terms Lexicon

Discover comprehensive accounting definitions and practical insights. Empowering students and professionals with clear and concise explanations for a better understanding of financial terms.